1099 Tax Calculator
Estimate the tax on your 1099 / self-employment income — enter your income, expenses, filing status and state to see self-employment tax, federal and state income tax, and how much to set aside.
Estimate for the 2025 tax year, for general information only — not tax advice. It applies self-employment tax (15.3% on 92.35% of net, Social Security portion capped), the half-SE-tax deduction, federal income tax on the standard deduction, and state income tax. It does not model quarterly payments, the QBI deduction, credits or other income. Verify with the IRS or a tax professional.
What you owe on 1099 income
1099 income has two tax layers. First is self-employment tax — the full 15.3% of Social Security and Medicare (an employee and employer normally split this) charged on 92.35% of your net profit, with the Social Security part capped at the annual wage base. Second is income tax: federal brackets apply to your profit after half of the self-employment tax and the standard deduction, and your state adds its own income tax. The calculator combines all three and tells you roughly what percentage of your net income to set aside.
Expenses and quarterly taxes
Because you’re taxed on net profit, every legitimate business expense lowers both taxes — so track them carefully. The self-employed also generally pay estimated tax quarterly rather than through withholding. To compare what a salaried paycheck would net, see the paycheck calculator; for investment gains use the capital gains tax calculator.
Frequently asked questions
How much tax do I pay on 1099 income?
On 1099 income you owe self-employment tax of 15.3% (Social Security plus Medicare) on 92.35% of your net profit, plus federal and state income tax on top. As a rough rule, set aside about 25–30% of your net 1099 income for taxes. The calculator above gives a tailored estimate from your income, expenses and state.
What is self-employment tax?
Self-employment tax is the self-employed version of FICA — the Social Security (12.4%, up to the wage base) and Medicare (2.9%) taxes that an employer and employee normally split. Because you are both, you pay the full 15.3% on 92.35% of your net earnings, though half of it is deductible against your income tax.
Can I lower my 1099 taxes with expenses?
Yes. You are taxed on net profit, so legitimate business expenses — equipment, software, mileage, home office and more — directly reduce both your self-employment tax and income tax. Enter your expenses above to see the effect on the estimate.
How much should I set aside for 1099 taxes?
Setting aside 25–30% of your net 1099 income is a common safe target for federal self-employment plus income tax, more if your state has a high income tax. The calculator shows the exact percentage for your situation so you can save the right amount and avoid a surprise bill.